Car tax must be paid when a vehicle is registered or commissioned for the first time in Finland. Car tax must also be paid after the first registration of the vehicle if its structure or purpose is changed in a way that affects its taxation. In such situations, Traficom is responsible for collecting the car tax.
Car tax must be paid for a passenger car, van or bus whose kerb weight is under 1,875 kg, motorcycle, motor tricycle or heavy quadricycle registered or commissioned for the first time in Finland.
The Tax Administration is responsible for vehicles’ first taxation and grants tax benefits to taxis, veterinary vehicles, emergency vehicles, ambulances and hearses and based on a disability under certain conditions. If full car tax has already been paid once for a vehicle, or the prerequisites and conditions for a tax benefit granted by the Tax Administration are met, no additional tax must be paid for the vehicle following possible changes.
Traficom monitors compliance with the tax benefit conditions and collects car tax for changes made to the structure, purpose or ownership of the vehicle after the vehicle’s first registration.
You may have to pay car tax if you change for example:
- A van exempt from car tax to a passenger car
- A lorry or bus exempt from car tax to a van or passenger car
- A van subject to reduced car tax to a dual-purpose car, i.e. add seats to a van
- A van subject to reduced car tax to a camper van subject to full car tax
You may also have to pay car tax if:
- Mandatory equipment of a camper van exempt from car tax is removed
- Over 50% of the vehicle parts are changed or you replace the vehicle body with a monocoque bodywork.
If changes occur to the vehicle’s classification or car tax basis, your vehicle must undergo a modification inspection. The vehicle inspection companies and overseeing authorities report to Traficom if the required modification inspection has not been carried out. The owner or holder of the vehicle is responsible for making sure that the register entries correspond to the vehicle’s structure.
Amount of car tax
The amount of car tax is calculated
• from the vehicle’s taxable value
• by using the tax rate applied to the vehicle. The tax rates are compared from the vehicle’s year of entry into service to the time of the modification inspection and the lowest rate is chosen.
An example of the determination of the amount of car tax:
A van subject to reduced car tax is changed to a 5-seat van, i.e. a dual-purpose car. The vehicle was commissioned in 2008. At the time of the modification inspection, the vehicle’s general taxable value as a 5-seat dual-purpose car is EUR 10,000. The tax rate is 25%. The amount of car tax is EUR 2,500.
If necessary, Traficom will send the owner and holder of the vehicle a request to provide more information and participate in a hearing. After the hearing, the decision is sent to the person liable to pay car tax.
Tip: You can use the car tax calculator to determine how much car tax you must pay for a used vehicle. The calculator result is indicative. The final amount of tax to be paid is stated in the car tax decision.
Please note
- The vehicle is taxed in the same way as an equivalent vehicle imported used
- Previously levied car tax is not taken into account when the vehicle is taxed again
- Vehicle inspection companies answer technical questions about the vehicle structure
Please note that changes to the vehicle structure can also impact your annual vehicle tax. Estimate the amount of your tax with the vehicle tax calculator
Traficom answers frequently asked questions about the determination of car tax.
The taxable value of a vehicle and the amount of car tax to be paid are determined when the tax decision is made or if you apply for a preliminary ruling subject to a fee.